Trade liberalization and nutrition transition: Evidence from China

Abstract

We examine the impact of trade liberalization on the nutrition transition between 1997 and 2011. Our findings demonstrate that the reduction in tariff rates has had a significant effect on the dietary patterns of both rural and urban residents in the country. With the decrease in tariffs, there has been a noticeable increase in the consumption of animal products (such as meat and aquatic products), vegetables, beans and nuts, as well as packaged and processed foods. Simultaneously, there has been a decrease in the demand for staple foods, fruits, and dairy products. Consequently, there has been an increase in the proportion of overall calories derived from fat and protein, while the proportion from staple foods has declined. As a result, trade liberalization has led to increased food expenditure, while reducing the cost of maintaining a healthy diet. Furthermore, trade liberalization has also contributed to a growing risk of obesity. Additionally, our study identifies rising incomes, specialization in agricultural production, changing food prices, and shifting food preferences as the primary mechanisms of the trade-diet relationship.